Read Books Online and Download eBooks, EPub, PDF, Mobi, Kindle, Text Full Free.
Pro Forma Adjustments To Gaap Earnings
Download Pro Forma Adjustments To Gaap Earnings full books in PDF, epub, and Kindle. Read online Pro Forma Adjustments To Gaap Earnings ebook anywhere anytime directly on your device. Fast Download speed and no annoying ads. We cannot guarantee that every ebooks is available!
Book Synopsis Pro Forma Adjustments to Gaap Earnings by : Nancy B. Nichols
Download or read book Pro Forma Adjustments to Gaap Earnings written by Nancy B. Nichols and published by . This book was released on 2005 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Securities and Exchange Commission (SEC) issued Regulation G (implementing Section 401 (b) of the Sarbanes-Oxley Act of 2002) in 2003 subsequent to its warning in December 2001 about reporting misleading non-GAAP or pro forma results. This research provides a longitudinal analysis of the earnings releases of a sample of companies reporting pro forma results from 1999 through 2004, especially in the context of recent SEC action. The research examines (1) the specific items included in pro forma adjustments and their frequency, (2) the extent of materiality or magnitude of the adjustments compared to GAAP, and (3) the stated rationale for the adjustments. The research also specifically addresses the impact of the SEC's recent guidance and the extent to which Regulation G has modified pro forma reporting behavior. Our findings indicate pro forma adjustments have continued to be systematically biased in recent years to show significantly higher earnings compared to GAAP earnings and that the magnitude of such differences is highly material. While SEC action, particularly Regulation G, appears to have greatly reduced the number of companies disclosing non-GAAP financial measures and has improved transparency, a significant number of companies continue to make adjustments that are likely of concern to the SEC.
Book Synopsis The Ability of Pro Forma Earnings to Improve Predictability and Comparability by : Michael Interdonato
Download or read book The Ability of Pro Forma Earnings to Improve Predictability and Comparability written by Michael Interdonato and published by . This book was released on 2015 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper seeks to determine the ability of pro forma earnings to improve predictability and comparability. The primary research question focuses on determining whether pro forma adjustments remove temporary items from reported GAAP as they are meant to do. I find that pro forma adjustments do in fact remove temporary items from reported GAAP and therefore improve their ability to predict future earnings. However, GAAP earnings also add value when predicting future earnings, which shows that these pro forma adjustments remove permanent items at times as well. The secondary research question focuses on determining when pro forma adjustments improve predictability and when they do not. I find that pro forma adjustments improve predictability of future earnings in times when companies are performing poorly, represented in this paper by times in which sales are decreasing or times in which market value is decreasing. However, they fail to improve predictability of future earnings in times when companies are performing well, represented in this paper by times in which sales are increasing or times in which market value is increasing. The tertiary research question focuses on determining how comparable pro forma earnings are when conducting ratio analysis across companies. I find that a measure of operating earnings, which removes extraordinary items, depreciation and amortization, income taxes, and interest and related expenses from GAAP earnings, is generally the best earnings measure to use when focusing on comparability of ratios across companies followed by pro forma earnings and finally GAAP earnings. As expected, because pro forma adjustments are typically made in an effort to report a more accurate EPS value, pro forma earnings are the best measure of earnings to use when focusing on comparability specifically related to earnings per share.
Book Synopsis Managers' Use of 'Pro Forma' Adjustments to Meet Strategic Earnings Benchmarks by : Theodore E. Christensen
Download or read book Managers' Use of 'Pro Forma' Adjustments to Meet Strategic Earnings Benchmarks written by Theodore E. Christensen and published by . This book was released on 2008 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: The practice of reporting manager-adjusted 'pro forma' earnings numbers in quarterly earnings press releases has attracted considerable attention in recent years. Prior research suggests that while some managers report these adjusted numbers to better reflect core earnings, others may use these earnings adjustments to meet strategic earnings benchmarks on a pro forma basis when they fall short based on GAAP reporting standards. The difficulty lies in distinguishing the 'good guys' from the 'bad guys.' Using hand-collected pro forma earnings data, we investigate the extent to which different types of earnings adjustments affect the spread between pro forma earnings and GAAP earnings from continuing operations. Moreover, we investigate which types of adjustments managers use to meet strategic earnings benchmarks. In addition to the exclusion of one-time items like restructuring charges, the results indicate that managers often exclude recurring expenses such as research and development, depreciation, and stock-based compensation to meet these strategic benchmarks. The exclusion of recurring items is especially indicative of manager opportunism in pro forma reporting.
Book Synopsis Prospective Financial Information by : AICPA
Download or read book Prospective Financial Information written by AICPA and published by John Wiley & Sons. This book was released on 2017-06-12 with total page 256 pages. Available in PDF, EPUB and Kindle. Book excerpt: This resource provides interpretive guidance and implementation strategies for all preparation, compilation examination and agreed upon procedures on prospective financial information: Helps with establishing proven best-practices. Provides practical tools and resources to assist with compliance. Exposes potential pitfalls associated with independence and ethics requirements. SSAE No. 18 SSARS No. 23 Preparation and compilation engagements now fall under the SSARSs The attestation engagements require an assertion from the responsible party
Book Synopsis Emphasis on Pro Forma Versus Gaap Earnings in Quarterly Press Releases by : Robert M. Bowen
Download or read book Emphasis on Pro Forma Versus Gaap Earnings in Quarterly Press Releases written by Robert M. Bowen and published by . This book was released on 2005 with total page 45 pages. Available in PDF, EPUB and Kindle. Book excerpt: Earnings press releases provide managers a forum to present their firm's quarterly financial information and perhaps influence perceptions of the firm's stakeholders. We explore the use of managerial emphasis as a disclosure tool and contribute to the debate over pro forma earnings. We examine (1) the determinants of emphasis placed on pro forma and GAAP earnings within quarterly earnings press releases, (2) whether there has been a shift away from emphasizing pro forma earnings toward GAAP earnings, and (3) whether stock market reactions to earnings news were influenced by emphasis placed on metrics within the press release. We find that firms emphasize metrics that are more value-relevant and portray more favorable firm performance. We also find that the extent of a firm's media coverage affects managers' emphasis decisions. Further, our results indicate a highly significant shift toward GAAP emphasis and away from pro forma emphasis in 2002 relative to 2001. Finally, our stock market tests suggest that greater emphasis on an earnings metric results in a stronger market reaction to the surprise in that metric. Overall, these findings are consistent with managers using emphasis in the earnings press release as a disclosure tool and this emphasis influencing at least one important stakeholder group - investors.
Book Synopsis FASB Accounting Standards Update by :
Download or read book FASB Accounting Standards Update written by and published by . This book was released on 2010-12 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Book Synopsis Reporting Non-GAAP Financial Measures by : Nicola Moscariello
Download or read book Reporting Non-GAAP Financial Measures written by Nicola Moscariello and published by Cambridge Scholars Publishing. This book was released on 2019-11-25 with total page 420 pages. Available in PDF, EPUB and Kindle. Book excerpt: The use of alternative performance indicators (APMs) (also known as ‘Non-GAAP’ earnings) is a widespread phenomenon, and the increased reliance on APMs has recently triggered a strong debate among regulators, managers and investors on the nature of these ‘tailored’ earnings and on the economic reasons behind them. On one hand, APMs might reflect managers’ attempt to offer useful information to predict companies’ future sustainable cash-flows and earnings (information hypothesis), while, on the other, the non-standardized nature of these metrics impacts on the comparability of the financial results, and reduces the reliability and the faithful representation of financial information (opportunistic hypothesis). By collecting several theoretical and empirical contributions on APMs, this book provides a number of interesting and useful insights on the economics of APMs and their impact on financial markets.
Book Synopsis Pro Forma Figures on the Swiss Capital Market by :
Download or read book Pro Forma Figures on the Swiss Capital Market written by and published by . This book was released on 2015 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Pro forma figures are adjusted GAAP measures published voluntarily by companies. Previous research showed that the use of these figures was widespread. The present study focuses on pro forma measures disclosed on the Swiss capital market between 2004 and 2013. Pro forma measures published by companies listed in the SMI index were collected by hand from the "Key figures" sections of their annual reports. Our results show that the use of pro forma figures by firms listed in the SMI index is common over the period studied. Furthermore, most adjustments made to pro forma figures were income increasing. The transparency of these figures, especially of modified pro forma measures, was however not always guaranteed. Furthermore, labels used for these figures were sometimes misleading. Finally, we show that changes of CFO, changes of auditor and the publication of negative GAAP earnings tend to increase the number of modified pro forma figures published. On the other hand, changes of accounting standards, changes of CEO and changes of person in charge of the audit tend to decrease the number of modified pro forma measures disclosed.
Book Synopsis The RISE and RISE of NON-GAAP DISCLOSURE by : Jeff Coulton
Download or read book The RISE and RISE of NON-GAAP DISCLOSURE written by Jeff Coulton and published by . This book was released on 2016-11-24 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Book Synopsis Research in Accounting Regulation by : Gary Previts
Download or read book Research in Accounting Regulation written by Gary Previts and published by Elsevier. This book was released on 2006-01-27 with total page 378 pages. Available in PDF, EPUB and Kindle. Book excerpt: The scope of service provided by professional accountants is influenced by legislation and case law as well as the dictates of a variety of government and private sector agencies; including State Boards of Accountancy, Academic Accreditation Bodies, the United States Securities and Exchange Commission, the Public Accounting Oversight Board, independent standard setting bodies such as the Federal Accounting Standards Advisory Board [US], the Financial Accounting Standards Board [US] and the International Accounting Standards Board. These entities and self-regulatory organizations such as U.S. State Societies of CPAs and the American Institute of Certified Public Accountants and equivalent and emerging national bodies that exist in most developed and developing countries, are among the emerging entities which attempt to coordinate the activities of professional accountants among sovereign nations. It is important for academics, students, practitioners, regulators and researchers to consider and study the role and relationship of such bodies with the practice and content of our discipline. Research in Accounting Regulation seeks high quality manuscripts which address accounting regulatory policy, broadly defined, including: 1. self regulatory activities 2. case law and litigation 3. legislation and government regulation 4. the economics of regulation of markets, and disclosure, including modeling 5. matters involving the structure of education, licensing, and accreditation The editors encourage submission of original empirical, behavioral or applied research manuscripts which consider strategic and policy implications for regulation, regulatory models and markets. It is intended for individual researchers, practitioners, regulators and students of accountancy who desire to increase their understanding of the regulation of accountancy.
Book Synopsis The Three-Box Solution by : Vijay Govindarajan
Download or read book The Three-Box Solution written by Vijay Govindarajan and published by Harvard Business Review Press. This book was released on 2016-04-26 with total page 256 pages. Available in PDF, EPUB and Kindle. Book excerpt: How to Innovate and Execute Leaders already know that innovation calls for a different set of activities, skills, methods, metrics, mind-sets, and leadership approaches. And it is well understood that creating a new business and optimizing an already existing one are two fundamentally different management challenges. The real problem for leaders is doing both, simultaneously. How do you meet the performance requirements of the existing business—one that is still thriving—while dramatically reinventing it? How do you envision a change in your current business model before a crisis forces you to abandon it? Innovation guru Vijay Govindarajan expands the leader’s innovation tool kit with a simple and proven method for allocating the organization’s energy, time, and resources—in balanced measure—across what he calls “the three boxes”: • Box 1: The present—Manage the core business at peak profitability • Box 2: The past—Abandon ideas, practices, and attitudes that could inhibit innovation • Box 3: The future—Convert breakthrough ideas into new products and businesses The three-box framework makes leading innovation easier because it gives leaders a simple vocabulary and set of tools for managing and measuring these different sets of behaviors and activities across all levels of the organization. Supported with rich company examples—GE, Mahindra & Mahindra, Hasbro, IBM, United Rentals, and Tata Consultancy Services—and testimonies of leaders who have successfully used this framework, this book solves once and for all the practical dilemma of how to align an organization on the critical but competing demands of innovation.
Book Synopsis Principles of Accounting Volume 1 - Financial Accounting by : Mitchell Franklin
Download or read book Principles of Accounting Volume 1 - Financial Accounting written by Mitchell Franklin and published by . This book was released on 2019-04-11 with total page 1056 pages. Available in PDF, EPUB and Kindle. Book excerpt: The text and images in this book are in grayscale. A hardback color version is available. Search for ISBN 9781680922929. Principles of Accounting is designed to meet the scope and sequence requirements of a two-semester accounting course that covers the fundamentals of financial and managerial accounting. This book is specifically designed to appeal to both accounting and non-accounting majors, exposing students to the core concepts of accounting in familiar ways to build a strong foundation that can be applied across business fields. Each chapter opens with a relatable real-life scenario for today's college student. Thoughtfully designed examples are presented throughout each chapter, allowing students to build on emerging accounting knowledge. Concepts are further reinforced through applicable connections to more detailed business processes. Students are immersed in the "why" as well as the "how" aspects of accounting in order to reinforce concepts and promote comprehension over rote memorization.
Book Synopsis Earnings Management by : Joshua Ronen
Download or read book Earnings Management written by Joshua Ronen and published by Springer Science & Business Media. This book was released on 2008-08-06 with total page 587 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is a study of earnings management, aimed at scholars and professionals in accounting, finance, economics, and law. The authors address research questions including: Why are earnings so important that firms feel compelled to manipulate them? What set of circumstances will induce earnings management? How will the interaction among management, boards of directors, investors, employees, suppliers, customers and regulators affect earnings management? How to design empirical research addressing earnings management? What are the limitations and strengths of current empirical models?
Book Synopsis Cost Accounting For Dummies by : Kenneth W. Boyd
Download or read book Cost Accounting For Dummies written by Kenneth W. Boyd and published by John Wiley & Sons. This book was released on 2013-02-11 with total page 419 pages. Available in PDF, EPUB and Kindle. Book excerpt: The easy way to get a grip on cost accounting Critical in supporting strategic business decisions and improving profitability, cost accounting is arguably one of the most important functions in the accounting field. For business students, cost accounting is a required course for those seeking an accounting degree and is a popular elective among other business majors. Cost Accounting For Dummies tracks to a typical cost accounting course and provides in-depth explanations and reviews of the essential concepts you'll encounter in your studies: how to define costs as direct materials, direct labor, fixed overhead, variable overhead, or period costs; how to use allocation methodology to assign costs to products and services; how to evaluate the need for capital expenditures; how to design a budget model that forecast changes in costs based on expected activity levels; and much more. Tracks to a typical cost accounting course Includes practical, real-world examples Walks you though homework problems with detailed, easy-to-understand answers If you're currently enrolled in a cost accounting course, this hands-on, friendly guide gives you everything you need to master this critical aspect of accounting.
Book Synopsis Financial Statement Analysis by : Martin S. Fridson
Download or read book Financial Statement Analysis written by Martin S. Fridson and published by John Wiley & Sons. This book was released on 2002-10-01 with total page 414 pages. Available in PDF, EPUB and Kindle. Book excerpt: Praise for Financial Statement Analysis A Practitioner's Guide Third Edition "This is an illuminating and insightful tour of financial statements, how they can be used to inform, how they can be used to mislead, and how they can be used to analyze the financial health of a company." -Professor Jay O. Light Harvard Business School "Financial Statement Analysis should be required reading for anyone who puts a dime to work in the securities markets or recommends that others do the same." -Jack L. Rivkin Executive Vice President (retired) Citigroup Investments "Fridson and Alvarez provide a valuable practical guide for understanding, interpreting, and critically assessing financial reports put out by firms. Their discussion of profits-'quality of earnings'-is particularly insightful given the recent spate of reporting problems encountered by firms. I highly recommend their book to anyone interested in getting behind the numbers as a means of predicting future profits and stock prices." -Paul Brown Chair-Department of Accounting Leonard N. Stern School of Business, NYU "Let this book assist in financial awareness and transparency and higher standards of reporting, and accountability to all stakeholders." -Patricia A. Small Treasurer Emeritus, University of California Partner, KCM Investment Advisors "This book is a polished gem covering the analysis of financial statements. It is thorough, skeptical and extremely practical in its review." -Daniel J. Fuss Vice Chairman Loomis, Sayles & Company, LP
Book Synopsis Understanding Accounting Academic Research by : Stephen R. Moehrle
Download or read book Understanding Accounting Academic Research written by Stephen R. Moehrle and published by Emerald Group Publishing. This book was released on 2013-06-25 with total page 298 pages. Available in PDF, EPUB and Kindle. Book excerpt: Accounting scandals such as Enron and WorldCom ushered in several regulatory overhauls including Sarbanes-Oxley. This monograph summarizes and synthesize a decade of academic research to develop an evolving dominant explanation around these myriad changes.
Book Synopsis More Than a Numbers Game by : Thomas A. King
Download or read book More Than a Numbers Game written by Thomas A. King and published by John Wiley & Sons. This book was released on 2011-02-17 with total page 260 pages. Available in PDF, EPUB and Kindle. Book excerpt: The world certainly suffers no shortage of accounting texts. The many out there help readers prepare, audit, interpret and explain corporate financial statements. What has been missing is a book offering context and discussion for divisive issues such as taxes, debt, options, and earnings volatility. King addresses the why of accounting instead of the how, providing practitioners and students with a highly readable history of U.S. corporate accounting. More Than a Numbers Game: A Brief History of Accounting was inspired by Arthur Levitt's landmark 1998 speech delivered at New York University. The Securities and Exchange Commission chairman described the too-little challenged custom of earnings management and presaged the breakdown in the US corporate accounting three years later. Somehow, over a one-hundred year period, accounting morphed from a tool used by American railroad managers to communicate with absent British investors into an enabler of corporate fraud. How this happened makes for a good business story. This book is not another description of accounting scandals. Instead it offers a history of ideas. Each chapter covers a controversial topic that emerged over the past century. Historical background and discussion of people involved give relevance to concepts discussed. The author shows how economics, finance, law and business customs contributed to accounting's development. Ideas presented come from a career spent working with accounting information.
